The total consideration on a debt-free basis was £15.75m (comprising cash of £8.775m and Pennon Group Plc loan notes totalling £6.975m). The acquisition is in line with the Group's strategy of expanding its waste management activities, particularly in the recycling sector. The acquired business operates in the south east of England. It has a number of medium and long-term municipal contracts and a total current annual volume of 90,000 tonnes.

Its main operations are: a Materials Recycling Facility (MRF) in Milton Keynes, Bedfordshire, processing co-mingled dry recyclables; an MRF in Enstone (northwest of Oxford) processing municipal and commercial recyclables; and a trading arm located in London.

At 9:43am: (LON:PNN) Pennon Group share price was +2.5p at 700p

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